In the generator there is an alternating pole magnet wheel that is mounted close to the bicycle rim without touching it. The bicycle rim is usually made of aluminum and is therefore not magnetic but conductive. When the rim rotates, the magnetic fields of the magnet wheel generate a current flow inside the rim, the so-called eddy current. As soon as electric current flows, a magnetic field is created, so that the eddy currents also cause alternating polarity magnetic fields in the rim. These magnetic fields are sufficient to magnetically attract or repel the magnet wheel and thus rotate it. A copper coil is attached around the magnet wheel, in which an alternating current is induced when the alternating polarity magnets rotate. This alternating current is used via rectifier electronics to operate the LEDs. In this way, energy can be transferred from the rotating rim to the fully encapsulated generator without mechanical friction and without the use of additional magnets or ferromagnetic elements in the rim.